Pepsi Overtakes Diet Coke as US Soda Sales Continue to Slide
Pepsi Overtakes Diet Coke as US Soda Sales Continue to Slide

Pepsi has overtaken Diet Coke to become the second most popular carbonated drink in the United States, as health-conscious consumers increasingly shun products containing artificial sweeteners. According to new figures from trade publication Beverage Digest, Coca-Cola retained the top spot, but sales of its sugar-free alternative fell by 6.6% in 2014.

Despite the decline in Diet Coke sales, both Coca-Cola and Pepsi posted modest overall sales increases last year. However, the broader trend shows that fizzy drinks have fallen out of favour over the past decade, with low-calorie options also declining due to concerns about the side effects of sweeteners like aspartame.

Healthier alternatives have seen sharp growth: bottled water sales rose by 9% for Nestlé in 2014, while energy drinks and cold coffees also gained popularity. John Sicher, editor of Beverage Digest, noted a 'tremendous migration to other categories' driven by consumer concerns about obesity and wellness.

In response, major brands are reformulating products to reduce calories using natural sweeteners. Coca-Cola recently launched Coca-Cola Life, sweetened with stevia, containing 27 calories per 100ml compared to 42 in regular Coke. The company's overall sales rose for the first time since 2000.

The overall US refreshment beverage market grew by 2.2% in 2014, the strongest rate in years, according to the Beverage Marketing Corporation. The consultancy valued the US drinks business at $160bn last year.